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1.Consumer's surplus Commodity taxation: pi=PI +t, T=tx(p, w) The loss of the taxation 1.L=-EV(p,p,w)-7=e(p,u)-e(p,u)-7 =。[(P,p12)+(3+,p1,) 2.=-CW(p,p,y)-T=e(p,l")-e(p,l2)-7 ∫(P1p,n2)-h(P+1p,n21.Consumer’s surplus • Commodity taxation: • The loss of the taxation: – 1. – 2. 1 0 1 1 1 1 p p t T t x p w = + =  , ( , ) 0 1 0 1 1 0 1 1 1 0 1 1 0 1 1 1 1 1 1 1 1 ( , , ) ( , ) ( , ) [ ( , , ) ( , , )] p t p L EV w T e u e u T h p u h p t u dp + − − = − − = − − = − +  p p p p p p 0 1 0 1 2 0 1 1 0 0 0 0 0 0 1 1 1 1 1 1 1 ( , , ) ( , ) ( , ) [ ( , , ) ( , , )] p t p L CV w T e u e u T h p u h p t u dp + − − = − − = − − = − +  p p p p p p
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